Kuehne & Nagel International Ag · SIX:KNIN

Kuehne & Nagel International — Kuehne + Nagel International — 9M 2011 Earnings Presentation

35 slides from Kuehne & Nagel International's earnings presentation, Oct 17, 2011

  1. Slide 1: Analyst Conference Call – 9-months 2011 Results

    Kuehne + Nagel International AG Analyst Conference Call – 9-months 2011 Results October 17, 2011 (CET 14.00) Schindellegi, Switzerland

  2. Slide 2: Agenda

    Agenda Welcome & Highlights 9-months 2011 | Gerard van Kesteren Operating Review 9-months 2011 | Reinhard Lange Financial Review | Gerard van Kesteren Outlook | Reinhard Lange 9 months 2011 results October 17, 2011 Slide 2

  3. Slide 3: Highlights 9-months 2011

    Highlights 9-months 2011 • Strong volume growth above market in all business units: Kuehne+Nagel Market - Seafreight 11.4% 5% - Airfreight 14.5% 0% - Road&Rail 19.4% 3% - Contract Logistics 7.9% 2% • Material negative forex impact of 14.5% • Lower Seafreight margins per unit due to low rate environm

  4. Slide 4: Development Main Exchange Rates vs. CHF

    Development Main Exchange Rates vs. CHF full year YTD September Impact Variance Net 2009 2010 2010 2011 % Earnings Expected Income Statement (average rates) full year 2011 Euro 1.5099 1.3864 1.4077 1.2377 (12.1%) (11) US Dollar 1.0811 1.0430 1.0623 0.8836 (16.8%) (14.5%) (15) (13%) British Pound 1.6

  5. Slide 5: Income Statement 9-months

    Income Statement 9-months CHF million 2010 2011 Variance Growth Acquisition FX Impact Invoiced turnover 15'178 14'598 (3.8%) 8.1% 2.0% (13.9%) -580 1'233 296 -2'109 MCHF Gross profit 4'453 4'380 (1.6%) 11.1% 1.5% (14.3%) -73 496 67 -636 MCHF Gross profit margin 29.3% 30.0% Total expenses (3'707) (3'

  6. Slide 6: Agenda

    Agenda Welcome & Highlights 9-months 2011 | Gerard van Kesteren Operating Review 9-months 2011 | Reinhard Lange Financial Review | Gerard van Kesteren Outlook | Reinhard Lange 9 months 2011 results October 17, 2011 Slide 6

  7. Slide 7: Seafreight

    Seafreight 9 months 2011 results October 17, 2011 Slide 7

  8. Slide 8: Seafreight: Highlights 9-months 2011

    Seafreight: Highlights 9-months 2011 Volume increased by 11.4% (market growth 5%)  Particular strong growth of exports from North America and exports from Asia to Middle East and South America. Freight rates / capacity  Underlying spot-rates (ex fuel) at record low level on key trade lanes  Idle

  9. Slide 9: Performance of Business Unit Seafreight – 9-months

    Performance of Business Unit Seafreight – 9-months CHF million 2009 2010 2011 Variance Growth Acquisition FX Impact Invoiced turnover 5'619 6'792 6'235 (8.2%) 4.7% 0.5% (13.4%) Gross profit 908 918 939 2.3% 16.6% 0.8% (15.0%) EBITDA 295 329 331 0.6% 14.9% 0.6% (14.9%) EBIT 270 310 315 1.6% 16.5% 0.3

  10. Slide 10: Seafreight – Volume by Traffic Lane YTD September

    Performance of Business Unit Seafreight – Volume by Traffic Lane YTD September TEU‘s % of Total Volumes % of Total Volumes 2500,000 growth 12% Other Export +8% 12% 2000,000 Other Export 9% North America Export +16% 9% North America Export 1500,000 50% Asia Pacific Export +12% 49% Asia Pacific Export

  11. Slide 11: Airfreight

    Airfreight 9 months 2011 results October 17, 2011 Slide 11

  12. Slide 12: Airfreight: Highlights 9-months 2011

    Airfreight: Highlights 9-months 2011 Volume increased by 14.5% 21% (market (zero market growthgrowth) 6-7%) – market Q3 minus 3-4%  259‘000 ParticularTons strong handled: growthHighest of exports level Europe of volume to North of any America/Asia quarter and from North America to Europe/South Amer

  13. Slide 13: Performance of Business Unit Airfreight – 9-months

    Performance of Business Unit Airfreight – 9-months CHF million 2009 2010 2011 Variance Growth Acquisition FX Impact Invoiced turnover 2'029 3'002 2'989 (0.4%) 12.3% 2.2% (15.0%) Gross profit 482 551 589 6.9% 22.0% 0.9% (16.0%) EBITDA 141 168 190 13.1% 30.4% (0.6%) (16.7%) EBIT 127 155 178 14.8% 33.5

  14. Slide 14: Airfreight – Volume by Traffic Lane YTD September

    Performance of Business Unit Airfreight – Volume by Traffic Lane YTD September TON‘s % of Total Volumes % of Total Volumes growth ,800 ,700 25% Other Export incl. acquisition 18% Other Export ,600 15% North America Export 14% North America Export +9% ,500 ,400 Asia Pacific Export 19% Asia Pacific Ex

  15. Slide 15: Road & Rail Logistics

    Road & Rail Logistics 9 months 2011 results October 17, 2011 Slide 15

  16. Slide 16: Road & Rail Logistics: Highlights 9-months 2011

    Road & Rail Logistics: Highlights 9-months 2011 Net invoiced turnover (currency adjusted) increased by 19.4% (market 3%); including 10.2% acquisition impact Rate increases realised in Germany and other European countries Acquisitions  Eichenberg (consolidation 9/2011): International + domestic serv

  17. Slide 17: Performance of Business Unit Road & Rail Logistics – 9-months

    Performance of Business Unit Road & Rail Logistics – 9-months CHF million 2009 2010 2011 Variance Growth Acquisition FX Impact Invoiced turnover 1'836 2'062 2'195 6.5% 11.4% 9.3% (14.3%) Net Invoiced Turnover 1'729 1'893 1'985 4.9% 9.2% 10.2% (14.5%) Gross profit 603 620 639 3.1% 9.2% 8.2% (14.4%) E

  18. Slide 18: Contract Logistics

    Contract Logistics 9 months 2011 results October 17, 2011 Slide 18

  19. Slide 19: Contract Logistics: Highlights 9-months 2011

    Contract Logistics: Highlights 9-months 2011 Net invoiced turnover (currency adjusted) increased by 7.9% (market growth 2%) Idle space rate substantially reduced to 5.1% from 8.4% a year ago Focus on profitability  Continuous reduction of shared footprint  Focused on selective growth with multinat

  20. Slide 20: Performance of Business Unit Contract Logistics – 9-months

    Performance of Business Unit Contract Logistics – 9-months CHF million 2009 2010 2011 Variance Growth Acquisition FX Impact Invoiced turnover 3'227 3'225 3'095 (4.0%) 9.6% 0.1% (13.8%) Net Invoiced Turnover 3'091 3'084 2'908 (5.7%) 7.7% 0.2% (13.6%) Gross profit 2'363 2'334 2'185 (6.4%) 7.1% 0.1% (1

  21. Slide 21: Contract Logistics – Idle Space Development

    Performance of Business Unit Contract Logistics – Idle Space Development 35.0% 30.0% 25.0% 20.0% North America 14.2% 15.0% 15.0% 10.0% 8.4% 7.9% 7.2% 5.0% TargetKuehne 5% + Nagel Group 5.1% 0.0% Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul A

  22. Slide 22: Agenda

    Agenda Welcome & Highlights 9 months 2011 | Gerard van Kesteren Operating Review 9 months 2011 | Reinhard Lange Financial Review | Gerard van Kesteren Outlook | Reinhard Lange 9 months 2011 results October 17, 2011 Slide 22

  23. Slide 23: Financial Overview – Highlights 9 months

    Financial Overview – Highlights 9 months CHF million 2009 2010 2011 Gross Profit 4'388 4'453 4'380 EBITDA 694 746 728 Earnings for the period 387 452 457 Cash & Cash Equivalents 797 1'014 864 Per share CHF EPS (basic) 3.27 3.81 3.83 Equity % Total Assets 38.3% 38.8% 38.1% Operational Cash Flow 673 7

  24. Slide 24: Balance Sheet

    Balance Sheet 31 December 30 September CHF million 2010 2011 Assets Non-current assets 2'058 2'139 Trade receivables 2'077 2'256 Cash and cash equivalents 1'331 882 Others 475 587 Current assets 3'883 3'725 Total assets 5'941 5'864 Liabilities and equity Equity attributable to the equity holders of

  25. Slide 25: Cash Flow Statement – 9 months

    Cash Flow Statement – 9 months CHF million 2010 2011 Variance Operational cash flow 726 737 11 Changes in working capital (187) (206) (19) Income taxes paid (106) (177) (71) Cash flow from operating activities 433 354 (79) Cash flow from investing activities (55) (252) (197) Cash flow from financing

  26. Slide 26: Development of Working Capital

    Development of Working Capital CHF million Sep 2010 Dec 2010 Mar 2011 Jun 2011 Sep 2011 Trade receivables & Work in progress 2'390 2'387 2'508 2'454 2'585 Trade payables & Accrued trade expenses (1'712) (1'946) (1'887) (1'824) (1'889) Net Working Capital 678 441 621 630 696 KPI's: Working Capital In

  27. Slide 27: Development of ROCE

    Development of ROCE 56% 55% 54% 53% 52% 51% 50% 49% 48% 47% 46% 45% 44% 43% 42% 41% 40% 39% 38% 37% 36% 35% 34% Q2/07 Q3/07 Q4/07 Q1/08 Q2/08 Q3/08 Q4/08 Q1/09 Q2/09 Q3/09 Q4/09 Q1/10 Q2/10 Q3/10 Q4/10 Q1/11 Q2/11 Q3/11 9 months 2011 results October 17, 2011 Slide 27

  28. Slide 28: Agenda

    Agenda Welcome & Highlights 9-months 2011 | Gerard van Kesteren Operating Review 9-months 2011 | Reinhard Lange Financial Review | Gerard van Kesteren Outlook | Reinhard Lange 9 months 2011 results October 17, 2011 Slide 28

  29. Slide 29: Outlook 2011

    Outlook 2011 Kuehne + Nagel Market Seafreight 10-12% 5% (TEU) Airfreight 10-12% 0% (Tons) Road & Rail Logistics 15-17% 3% (Net Invoiced TO) Contract Logistics 5% 2% (Net Invoiced TO) 9 months 2011 results October 17, 2011 Slide 29

  30. Slide 30: Annex I-Upcoming Events 2012

    Annex I-Upcoming Events 2012 5th March  Full year 2011 results 16th April  1st quarter 2012 results 8th May  Annual General Meeting 16th July  Half-year 2012 results 15th October  9-months 2012 results 9 months 2011 results October 17, 2011 Slide 30

  31. Slide 31: Annex II: Key Data Sheet Quarter by Quarter 2011-10

    Annex II: Key Data Sheet Quarter by Quarter 2011-10 in CHF million 2011 2010 2011 / 2010 Change in % Variance in CHF million 2011 / 2010 Q1 Q2 Q3 TOTAL Q1 Q2 Q3 TOTAL Q1 Q2 Q3 TOTAL Q1 Q2 Q3 TOTAL Seafreight Turnover 2'071 2'065 2'099 6'235 1'992 2'313 2'487 6'792 +4.0 (10.7) (15.6) (8.2) 79.0 (248.

  32. Slide 32: Annex II: Key Data Sheet Quarter by Quarter 2011-10

    Annex II: Key Data Sheet Quarter by Quarter 2011-10 in CHF million 2011 2010 2011 / 2010 Change in % Variance in CHF million 2011 / 2010 Q1 Q2 Q3 TOTAL Q1 Q2 Q3 TOTAL Q1 Q2 Q3 TOTAL Q1 Q2 Q3 TOTAL Road & Rail Logistics Turnover 681 812 702 2'195 646 724 692 2'062 +5.4 +12.2 +1.4 +6.5 35.0 88.0 10.0

  33. Slide 33: Annex II: Key Data Sheet Quarter by Quarter 2011-10

    Annex II: Key Data Sheet Quarter by Quarter 2011-10 in CHF million 2011 2010 2011 / 2010 Change in % Variance in CHF million 2011 / 2010 Q1 Q2 Q3 TOTAL Q1 Q2 Q3 TOTAL Q1 Q2 Q3 TOTAL Q1 Q2 Q3 TOTAL Real Estate Turnover 0 1 0 1 1 2 1 4 (100.0) (50.0) (100.0) (75.0) (1.0) (1.0) (1.0) (3.0) Gross Profit

  34. Slide 34: Thank you for your attention.

    Thank you for your attention.

  35. Slide 35: Disclaimer

    Disclaimer Investing in the shares of Kuehne + Nagel International AG involves risks. Prospective investors are strongly requested to consult their investment advisors and tax advisors prior to investing in shares of Kuehne + Nagel International AG. This document contains forward-looking statements

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